The province has ordered a forensic audit over concerns about spending on programs, salary hikes and expenses at the Toronto District School Board after the education director wrote seeking help.

Education Minister Liz Sandals said Wednesday she intervened after “a variety of concerns” were identified by the board’s audit committee and the director.

“Some had to do with reports being made available to the audit committee; some had to do with adherence to the broader public sector compensation rules,” said Sandals.

“Some to do with procurement rules; some to do with were expenses being appropriately approved — were reports that were being submitted to the ministry (done with) appropriate oversight. So there was a range of what I would call financial management issues.”

As first reported by the Star, the board’s director, Donna Quan, wrote to the ministry on June 13, asking for audits to look at “financial use and management of funds in the director of education’s office from September 2009 to June 2013.” The period covers not only her own brief tenure but that of former education director Chris Spence, who resigned earlier this year amid allegations of plagiarism.

Quan has also asked the province to look into the board’s Focus on Youth program, which provides activities and summer jobs for at-risk teens, as well as “the management of financial controls and processes within business services.”

Board chair Chris Bolton said Quan’s letter was prompted by allegations raised by “a couple of trustees based on some information that they felt they had about concerns about programming. . . . I would prefer that we address the allegations as quickly as possible based on what Donna sent (the ministry).”

He also said some accusations of financial mismanagement were outright wrong, and he had previously addressed that with staff.

“There is a general audit done once a year by the auditors, which is kind of interesting because it seems that during the general audit, there were no questions arising about those programs,” Bolton said.

Several sources have suggested the situation is complex and fuelled by internal tensions and political motivations.

Sources also told the Star that recent internal and external audits uncovered a very minor issue with Focus on Youth, but nothing to do with its finances. One source said senior staff expenses, however, could be an issue.

Trustee Elizabeth Moyer, who chairs the board’s audit committee, confirmed she sent a letter to Sandals on May 31 outlining her concerns.

However, Moyer now finds herself under fire over a potential conflict of interest after her two daughters were hired for Focus on Youth jobs last summer.

News of the provincial audit comes after a difficult year for the board, which saw Spence depart after embarrassing revelations of plagiarism, as well as cost overruns on a number of construction projects that prompted the province to put a freeze on capital funding.

The board passed a new capital plan last week and has been awaiting approval from the province.

Sandals stressed that the forensic audit, which will be completed this fall by Ernst and Young LLP, has no immediate impact on capital planning.

The concerns being probed date “from a little while ago — so during Mr. Spence’s administration — and some going on into the current administration,” she said. “So it’s not about a particular individual, it’s more about the financial management practices of the board in general.”

Spence could not be reached for comment. The Star could also not reach former chief financial officer Vidyia Rego.

Trustee Sam Sotiropoulos, who sits on the board’s audit committee, said he was surprised the financial officer raised concerns because he’d heard nothing from her about them over the past three years.

However, Sotiropoulos added, “if the chair of the audit committee and the current director think there’s something we need to know about, and that a further audit by the provincial government is necessary in order to clear the air or uncover some malfeasance, it should be expedited in a manner that is both quick and to the point.”

At a Wednesday news conference, Quan said a number of audits were completed during the six months she has been director. She went to the ministry in this instance in part to ensure public accountability and transparency, she said.

“If I did not act upon it, I would be complicit,” she said. “I must act upon it.”

Asked about salary increases at the board, she said it went through “senior team restructuring” and she welcomes the ministry to investigate.

Quan was also asked about Bolton’s suggestion that a group of trustees were playing politics to distract her from other issues.

“I think it’s important for me, no matter what the assertion is, I must act upon it if I have some doubt,” she said. “My job is to ensure transparency and a high level of accountability. The integrity of the Toronto District School Board is important to me.”

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